International Olympic Committee

Inter issue exceeding CommitteeIntroduction Now a day, to present and promote the national identity and cultures on a global scale, hosting the international games is the one of the greatest way. On 6 July 2005 the International Olympic Committee has given the right to full point the 2012 summer Olympic and Paralympics Games to capital of the United Kingdom. Now its necessary to find out whether its good the Economy of UK or what carry ons result be on the UK.The pros and cons of the capital of the United Kingdom 2012 P1As London is sacking to host the 2012 Olympic Games, we have to find out about advantages and disadvantages of hosting the 2012 Olympic Games. Even though its estimated that there leave behind be 2 one thousand thousand in tourism revenue and its predicted that the benefits of the game will be felt across the whole of the UK with becoming the centre of the worlds attention, there atomic number 18 so more an opposite(prenominal) disadvantages of the hosti ng of such(prenominal) a big games. Advantages of hosting the 2012 Olympic games 1. Urban regeneration ascribable to Olympic 2012, Government do a new stadium with setting cogency of 80000 and this will be the main focus area for Olympic. This East-end side is bit less developed area in comparison to some opposite part of the London. So due to Olympic 2012 this area will be developing area very soon.2. Housing Government is building 5000 homes for the Olympic village which will be using for housing of the local anaesthetic people after the Olympic. It will improver the housing be of the area.3. Transport Improvement As large number of visitor will be visiting during the Olympic, Government is improving the transport line rapidly. Following Improvements are mainly focuseda. Building a channel tunnel which will connect Stratford with Kings Cross b. Increasing the jubilee line capacity by 45% c. Extending the DLR network d. Major improvement work in East London line which is costing around 1bn.4. Jobs East end is known as a area where unemployment rate is very towering. As this area has become the Olympic Zone, now there are practic every(prenominal)y of short-term rent outs opportunity is there which may help to reduce the unemployment rate.5. Tourism UK is expecting the number of tourist will add rapidly due to the Olympic.6. Financial Benefits A city may receive lots of benefits from Olympic games. If we olfactory property at previous Olympic history we potful see that Barcelona was able to do vast urban renewal from the gained revenue of Olympic. Sydney was too able to generate huge revenue from the tourist and it also summation the number of tourist for the city.7. Employment Effects As we describe earlier Olympic creates lots of job which helps to reduce the unemployment rate..8. Intangible Benefits There are lots of benefit for creation host city of big event like Olympic. It could be tourist perspective, employment creation, developmen t of particular area, improvement of transportation system, organism the focus placed for the rest of the world. http//olympics.pthimon.co.uk/londonadv.htmDisadvantages of hosting the 2012 Olympic game Cost Cost of hosting a big event is the main d rude(prenominal)back. Government may need to unload around 2.373bn for Olympic 2012 and it is predicted which may growing. There could be huge operating loss which is nearly 500million. Lakes of yen term job Olympic is creating short-term job scarce it is not creating any long term jobs. So that after the Olympic, unemployment rate may plus rapidly. Olympic Debt With the Olympic Games being of the scale that it before long is, there is a risk of ending up in huge financial deficit if preparations are not organised or overseen properly. The result is a debt that lasts for years, as happened at the 1976 Montreal Olympics. Rising Consumer Prices/Rent As we know that if demand increases, price will increase. So that price of product an d rent may increase during the Olympic which will have a serious negative stir to the local poor resident. For example, is an area in which landlords will be able to adulterate 10 times their normal price during the surge of visitors to A thuslys in 2004. If too some prices shoot upwards in this way, a lot of poorer locals may find goods or ser criminalitys which they used to be able to afford are now out of reach. However, this change may not be affect larger cities. Cities such as Montreal and Los Angeles did not undergo any signifi hatfult price surges around the Games, and price changes were consistent with those in surrounding cities. http//olympics.pthimon.co.uk/londonadv.htmImpact on Environment and Other stakeholder P2The London 2012 Olympic and Paralympics Games will bring a wide range of positive impactions to the office. These include transport infrastructure, employment, skills, and scotch, social and surroundal impacts. many benefits include opportunities to showc ase the region through mixed Olympic- connect media. It has to be monitored noise, dust which is around the Olympic park. The waterways which runs around the park must need to be protected so that storing chemicals, oils do not run into the water ways. Arrange a huge event like an Olympic can well effect on environs. It can be effect environment in different way likeCarbon emission In this mega event its very possible to environment effected by light speed emission. But Olympic committee has set an inspirational goal Towards a One Planet Olympic. They try to keep carbon emission as low as possible. London 2012 has pledged to undertake a study of the carbon footprint of the Games. The first draft of the carbon footprint and associated carbon management strategy, including a reference scenario and numbers quantifying emissions, is due to be published by the end of July 2008. This will then be revised in light of lessons learnt in BeijingEnergy For running this Olympic it needs a huge amount of force. There is a possibility lots of energy can be waste as well. So London 2012 planning a proper energy plan for reduces waste of energy. Waste In this Olympic game there will be lots of tourist who will come from all over the world. In this time London population going to be increase as well as waste. Because lots of people will dumps huge amount of waste every day. It can easily affect on environment. As further plans for waste infrastructure and minimising food packaging and other Games time waste are developed over the conterminous few years it will become clearer whether the positive goals for waste management will be achieved http//www.london2012.com/plans/olympic-park/getting-ready/environmental-monitoring.phpOther stakeholder London Development Agency which is a subordinate word of the Mayor of London, its investing around 15 million for games and improvement of Lower Lea Valley. http//www.londonnet.co.uk/ln/ sharpen/about/olympics2012_stakeholders.htmlC omparison with other Olympic P3 First of all lets have look at the Beijing Olympic 2008. Beijing Olympic can be treat as a one of the successful Olympic. Chinese President Hu Jintao declared open the 29th summer Olympic Games of Beijing in the National Stadium in north Beijing. For the Olympic they have create 12 new stadiums with 11 alive stadiums and 8 temporary stadiums. On the other hand for London 2012 Olympic one of the biggest Olympic park kink going on where the setting capacity will be around 80000. To prepare for Olympic visitors, Beijings transportation infrastructure was expanded probatively. Beijing airport had a major expansion, adding the new Terminal 3 which is the worlds largest airport terminal. They reopened the Beijing south railway station after remodelling. They have introduced Beijing-Tianjin intercity train to connect with co-host city. On the other hand for London 2012 Olympic the government has already introduced major construction for London undergrou nd, and approximately 7.7 million tickets are available for sale for the London 2012 Olympic Games. An estimated 1.5 million spectators are expected to watch the Paralympics Games..If you compare the investment, London 2012 Olympic are investing for then Beijing Olympic. London 2012 has got more sponsor then Beijing Olympic. House of common has approved budget of 5.3 billion pound for construction of venues http//getsmaart.com/student-guides/index.php/student-life-advice/London_2012_UpdateImpact on local headache P4The London 2012 Olympic and Paralympics Games will bring a wide range of positive impacts to the region. These include transport infrastructure, employment, skills, and economic, social and environmental impacts. Many benefits include opportunities to showcase the region through various Olympic-related media. Many small pipeline premises have to move away due to manufacturing the main park. Its really worse to business owner, because they have been doing business for lo ng time and when move to new place it will take long time to settle down. On the other hand, During the Olympic number of tourist will increase. They will come to London to visit and they will spend money over here. So that its a great opportunity for the local business to increase the profitability.For business people, 2012 London Olympics will not be just a gathering of sports events and countriesnot just for entertainmentbut more than that, it is going to be a huge potential business. Many people from different countries, various races and colours, will converge in one place and this just means, great business opportunity.There is a great deal of investment that is being pumped into the country and the area in particular and many are looking at the business opportunities that will come about as a result of this huge sports gathering. The London 2012 Olympics will be a great venue for the local United Kingdom based athletes as they look to showcase their talents to the country at large. There are also some potential negative impacts to the region as a result of the Games. The South West may experience a decrease in tourism as a result of version or negative effects on staging the sailing events. Research shows there are a number of Olympic aversion markets that can increase tourism flows outside host cities. A number of national and international tourists may choose to not visit the region during 2012 because of perceived congestion and overcrowding. with a structured and co-ordinated approach, the South West can plan accordingly for the tourism opportunities of people staying away or at home during the Games themselves. One such market will be London residents wanting to escape the Games, and the South West is one of the UK regions that has recognised the potential of this market, with the South West England Legacy strategy for the 2012 Games noting the potential to capitalise on the displacement of UK citizens from London this can be mitigated by develo ping events (big screen, festivals etc.) to attract visitors. http//blogstuck.com/sports-sports-more-sports/2012-london-olympics-jobs-why-should-england-host-the-olympics/3239/Impacts on deliveryThe total cost of the hosting Olympic 2012 will be around 736 million and if could affect in welfare of London around 4003 million. So that Olympic 2012 will affecting significantly to the local economy which can help to recover the recession. There will a great opportunity for the economy to be stronger. For example, The Olympic 2012 games will impact in London economy because many tourist will come here, the hotel business will increase at that time, Food, drink business will increase. Because many people, tourist comes here and they will buy food, drink for themOn the other hand we should also know that hosting of Olympic could be courses for huge loss. For example we can tell about Munich Olympics 1972. They made loses of 178 million and in 1976 Montreal made losses of 692. If we look a t 1984 los angels Olympic and 1992 Barcelona Olympics they made around 215 million profit as because of the increased economic performance , creation of large market, and broadcasting rights. So that Olympic 2012 could affect significantly to local economy.Micro and Macro Environmental Factors related with Olympic P7There are some uncontrollable factors which has got impact on the business organisation. As like that Olympic Games could be affected by some micro and macro instruction environmental factors and it could turn on the number of tourist. Factors or elements in an organizations immediate area of operations that affect its performance and decision making freedom. These factors include competitors, customers, distribution channels, suppliers, and the general public.Example for Olympic 2012 Competitor- There is no competitor in London 2012 Olympic Customer- Peoples who buy the Olympic events ticket. Suppliers- Construction firms, workers.For macro environment we can say th e economic factors, environmental factor semipolitical factors, technical factors, social environment and for micro environmental factors it includes the supplier, stakeholders, government, and competitor.These are the factors has got significant impact on the Olympic Games also. For example currently the political, situation of UK is satiable. So that tourist can visit UK without any fear. So that each an every factor has got significant impact.Marco and Micro environmental factors also has got affect on SMEs growth. To find out the macro and micro environmental factors on the SMEs growth we can have a look on the PESTAL and Potters five forces Analysis.PESTEL analysis P6It is a part of the external analysis when doing market research and gives a certain overview of the different macro environmental factors that the company has to take into consideration. Political factors include areas such as tax policy, employment laws, environmental regulations, trade restrictions and tariffs and political stability. Political Factor A political factor is one of the major factors which have got significant impact on SMEs. In UK political situation is stable and Politian appreciates small and forte business. All the existing rules regulation of business and the spending major force play of the customers are very good for SMEs.Economic Factor As marketers need to consider the state of the trading economy in the state of a trading economy in the short and long tern. The economic condition of UK is much better then any other country for SMEs. In UK economic growth is very good customer has got more spending power. So that its very helpful for the SMEs. Sericulture Factors the social and cultural influence on business very from county to country. As UK is a multinational country it a good place to do business. Peoples already adopted with so many culture and they do respect each other. Here people would like to spend so that its good for SMEs. Also when customers do percei ved that their cultural set are being respected by the business as evident in its market(ing) strategy and customer handling, they will respond more positively to the business and its revenues will increase.Technological Factors Industry change is driving insurers to reinvent themselves by building new strategies and deploying new technologies. But it isnt user-friendly in the tight economic market to fund new projects while prioritizing investments. It is more crucial than ever to know when to be an early adopter, and when to be a fast follower. Kimberly Harris-Ferranti, research vice president, Gartner, Inc., recently discussed opportunities to achieve a first-mover advantage, and others where it is acceptable to follow the crowd. As UK is technologically advanced it easy to get access to the new technology which is helpful for SMEs and its easy to get competitive advantage. Environmental Factors climate changing, global warming, waste management could affect the business signif icantly. Sometimes its not easy to adopt with new environmental factors. In UK people are concern about environment. Its difficult to do business without concern about environment. It may increase the cost for small and medium business organisation as they have spend extra money for the waste management or recycling.Legal Factors Current law and order in UK is very friendly for the business. Small and medium business organisation can get help for the local authority and police any time. The legal environment is secure and government has introduced business friendly law and regulationAffect on SME Growth P9There will be certain affect on the SME growth. It has been shown through Porters Five Forces. Porters Five forcesThe model of pure competition implies that risk-adjusted rates of return should be constant across firms and industries. However, numerous economic studies have affirm that different industries can sustain different levels of profitability part of this difference is ex plained by industry structure.Michael Porter provided a framework that models an industry as being influenced by five forces. The strategic business manager seeking to develop an edge over rival firms can use this model to better get wind the industry context in which the firm operates.Rivalry In the traditional economic model, competition among rival firms drives profits to zero. But competition is not ideal and firms are not unsophisticated passive price takers. Rather, firms strive for a competitive advantage over their rivals. The intensity of emulation among firms varies across industries, and strategic analysts are interested in these differences.It could create following cost for SMEs1. A larger number of firms 2. Slow market growth 3. utmost fixed costs 4. High storage costs or highly perishable products 5. Low switching costsAs there are large numbers of SMEs in UK the completive contestation is very high which is affecting it. As because of London 2012 Olympic games t he number of competitor will increase. flagellum of Substitutes In Porters model, substitute products refer to products in other industries. To the economist, a threat of substitutes exists when a products demand is affected by the price change of a substitute product. A products price elasticity is affected by substitute products as more substitutes become available, the demand becomes more elastic since customers have more alternatives. A close substitute product constrains the ability of firms in an industry to raise pricesIn UK the threat of Substitutes are very high. For SMEs they have to take quick decision regarding substitutes. Its also affecting SMEs.Buyer Power The power of buyers is the impact that customers have on a producing industry. In general, when buyer power is strong, the relationship to the producing industry is near to what an economist terms a monophony a market in which there are many suppliers and one buyer. Under such market conditions, the buyer sets the price. In reality few pure monopolies exist, but frequently there is some asymmetry between a producing industry and buyers. The following tables outline some factors that determine buyer power.In UK the buying power of customers are more and they have got more choice. In order to get more customers all the SMEs has to provide excellent customer service. As London hosting Olympic 2012 games its good for the SMEs that the number of Buyer will increase. Supplier Power A producing industry requires raw materials labour, components, and other supplies. This requirement leads to buyer-supplier relationships between the industry and the firms that provide it the raw materials used to create products. Suppliers, if powerful, can exert an influence on the producing industry, such as selling raw materials at a high price to magnetize some of the industrys profits. The following tables outline some factors that determine supplier power.Like other big business supplier has got some power to influence the SMEs. Due to Olympic London 2012 number of SMEs will increase and if the supplier has got more power they may increase the price of the produced which may seriously affect the SMEs.Threat of Entry It is not only incumbent rivals that pose a threat to firms in an industry the possibility that new firms may enter the industry also affects competition. In theory, any firm should be able to enter and exit a market, and if free entrance and exit exists, then profits always should be nominal. In reality, however, industries possess characteristics that protect the high profit levels of firms in the market and inhibit additional rivals from entering the market. These are barriers to entryLets have a look its easy to enter into the market what will happen to SMEs and its difficult then what will happenDue the London 2012 Olympic the threat of new entry will increase significantly which may affect lots of SMEs.We can easily realise the situation of UK. From the analysis we ca n say that UK the Competitor rivalry is very high, so that every day lots of small business organisations are closing down. Also buying power of customer is very high and supplier power also involved with this. Due to London 2012 Olympic the buying power, supplier power and rivalry will be very high. active SMEs have to take preparation for that now onwards. They have take plan in order to maximise the profit during the London Olympic 2012.Reference http//www.londonnet.co.uk/ln/guide/about/olympics2012_stakeholders.html http//www.london2012.com/plans/olympic-park/getting-ready/environmental-monitoring.php http//getsmaart.com/student-guides/index.php/student-life-advice/London_2012_Update http//www.wirednewyork.com/forum/showthread.php?t=6580page=53 http//www.dailymail.co.uk/sport/othersports/article-413426/Coe-London-wont-grind-halt-Olympic-Games.html http//www.activedorset.org/site/index.php?/news/2012/transport_plan_for_the_london_2012_olympic_games_and_paralympic_games http//blo gstuck.com/sports-sports-more-sports/2012-london-olympics-jobs-why-should-england-host-the-olympics/3239/ http//www.best-family-info.com/sports/4667-benefits-of-london-olympics-2012-london-olympics-2012-logo http//www.bymnews.com/news/newsDetails.php?id=630 http//www.tfl.gov.uk/corporate/media/newscentre/archive/5410.aspx http//www.le.state.ut.us/interim/2000/html/20001017OCCM.htm http//www.pm.gov.pg/speeches/52-33rdindependeceanniversay